Madison, Ga.-based Morgan Memorial Hospital, a 25-bed critical access hospital, obtained a $35 million, tax-exempt, U.S. Department of Agriculture loan to finance a new facility.
The new hospital, a 25-bed, 74,500-square foot facility, will replace Morgan Memorial's 57-year-old facility.
"In completing this financing with USDA, I am very pleased that we have been able to dispel rumors suggesting that rural hospitals are obsolete and instead, support the proposition that even in small communities, an independent critical access hospital can thrive," said Ralph Castillo, CEO of Morgan Memorial Hospital.
InnoVative Capital, a financial advisor to MMH, completed the sale of the construction notes after five years of careful development and execution.
"The sale of tax-exempt notes…facilitated the lowest possible borrowing rate for our client. At a time when numerous rural hospitals have been shuttered, the fact that we were able to achieve a long-term loan rate for Morgan Memorial, lower than that of any other Georgia hospital, is a testament to the hard work and planning of Morgan Memorial's board and management, along with the determination of USDA to get this done right," said InnoVative Capital President and CEO Alan Richman.